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LAND-AGRICULTURAL

    LAND – AGRICULTURAL:

    Total Assessed Value Reductions: $ 150,000,000

    Total Tax Savings: 1.5+  Million Dollars

     

     

     

     

    Case Study #1: 240 Acre vineyard receives reduced tax bill before refund for prior year is finalized!

    Case Study #2: Farmer overpays for 320 Acre farm purchased in 1992!

    Case Study #3: Nursery receives $30,000 annual reduction for ten years!

    Case Study #4: Land Speculation turns into raw deal!

     

    Case Study #1: 240 Acre vineyard receives reduced tax bill before refund for prior year is finalized!

    Total Tax Savings: $80,000

    It is not unusual for our clients to receive a reduced tax bill for an upcoming tax year before the formal appeal filed for the previous tax year is finalized with the Assessment Appeals Board. These reductions usually come about as a result of an “informal request” supported by marekt information and submitted directly to the Assessor’s Office between February 1 and June 1 prior to the posting of the assessment rolls at the end of June. Ater the roll has been posted the formal appeal process commences on July 2 and closes on September 15.

    In this case, the vineyard was purchased at the height of the real estate market, however the owner was unaware of the potential for a property tax reduction until they received a letter from us.  Although the deadline had passed for submitting an informal request, a formal appeal was timely filed.  In the meantime, Protax LLC submitted an informal request for the following tax year that resulted in a $15,000 reduction to their upcoming tax bill. Later that year, Protax LLC negotiated a reduction of the formal tax appeal for the previous tax year that produced a refund in the amount of $14,000.

     

    Case Study #2: Farmer overpays for 320 Acre!

    Total Tax Savings: $ 26,000

    Although most property tax savings result from a reduction in value based on a decline in the “fair market value”, there are instances where buyers simply overpay for a property. This 320 acre farm is a case in point. The owner purchased the property for a price that he later realized was not if fact supported by market sales. Our office prepared a case and submittted it to the Assessor’s office requesting a reduction. Although there had not been a dramatic decline in farm land values since his purchase, a temporary reduction was nonetheless warranted and subsequtnly granted by the county in accordance with the request supplied by Protax LLC.

     

    Case Study #3: Nursery receives $30,000 annual reduction for ten years!

    Total Tax Savings: $300,000

    It is unusual for us to represent a property for more than five years based on a number of circumstances including changes in ownership, nonetheless there are exceptions to every rule. Our client purchased this 311 Acre agricultural property with a small nursery for 4.7 million dollars and approached us in to assist him with a tax reduction. Protax LLC represented the owner for nearly a decade to ensure that the tax assessment was maintained at the lowest value possible. Although, the actual assessment varied slightly through the years as the market declined and recovered, the value of pro-actively monitoring your assessment by submitting informal requests each and every year was strongly recognzied by the owner as the reduction achieved for this property was maintained despite a rapidly rising real estate market.

    “Protax obtained a temporary reduction saving us $35,000 the very first year, and we have enjoyed the same low assessed value with minor variations for the past ten years even though the market value has been increasing and other property owners around us have been receiving substantial increase notices from the county. Although we often contemplated the idea of discontinuing our agreement to save a few dollars in fees, we were reluctant to risk the $30,000 annual tax savings. We can only assume that the unrelenting requests and appeals submitted by Protax LLC each year for the past ten years by our agent has had an impact on the assessment authorities.”

    C. L. (Swift Properties)

     

    Case Study #4: Land Speculation turns into raw deal!

    Total Tax Savings: $178,000

    A small land developer took a large gamble by investing in a series of land speculations: the most notable of which was a $5,000,000 parcel with 26 acres zoned for agricultural use. The new owner intented to apply for commercial zoning as he had hear rumors that there were large government plans for the development of a major highway and several other projects in the immediate area. The new zoning and development could potentially double the value of his property.

    However, the true impact of the real estate slowdown and the RTC bailout hit this area hard and nearly all the proposed projects were abandoned. The highest and best use of this land was now relegated to dry farming and the value plummeted precipitously along with the rest of the market. Protax LLC obtained a reduction of over 80% reducing the assessed value to only $900,000.